HB 6588 Summary

• Requires employers with 100+ employees at a covered establishment to pay severance of 1 week's pay for each year of employment (plus partial pay for partial years) when closing or relocating more than 100 miles away.

• Defines eligible employees as those continuously employed for at least 3 years who were not discharged for cause and did not accept employment at another employer location.

• Exempts severance requirements when closings are caused by physical calamities, government orders, or when employees already have higher severance under written contracts.

• Requires employers to notify the Department of Licensing and Regulatory Affairs at least 60 days before closure/relocation and 7 days before mass layoffs; defines mass layoff as 33% of employees (minimum 50) or 500 employees for at least 6 months.

• Allows employees and labor organizations to sue for unpaid severance with attorney fees and costs; permits civil fines up to $1,000 per violation and establishes a state civil infraction for failure to notify employees and municipality officials 60 days before closure.